SINGAPORE, Sept. 15(Xinhuanet)-- Standard& Poor's(S&P) Ratings Services announced here on Thursday that it has raised the long-term ratings on two of China's policy banks by one notch to"A-" from"BBB+".
The two banks are China Development Bank(CDB) and Export-Import Bank of China(China EXIM), both of which were established in 1994 and function under the direct leadership of the State Council.
S&P said in a statement that it also raised the short-term ratings on China EXIM and the foreign currency short-term rating on CDB to"A-1" from"A-2".
"The upgrades on the ratings on CDB and China EXIM reflect the expectations of close support from the sovereign and the better-defined policy role for the banks," S&P's credit analyst Ping Chew was quoted as saying.
It noted that the ratings also reflect the expectation of strong government incentives to support the two banks, which will remain key public policy institutions.
The world's renowned provider of credit ratings and financial-market indices added that the outlook on the banks is positive.
During the past decade, CDB has issued an accumulated total of 1.6 trillion yuan(about 200 billion US dollars) in loans to more than 4,000 projects in key fields of infrastructure and pillar industries, while China EXIM has been serving as a state export credit agency to promote China's foreign trade and economy. Enditem